Camelot UK Lotteries Limited: Half-year Financial Results

Camelot UK Lotteries Limited (‘Camelot’) today announced that UK National Lottery ticket sales for the first six months of its 2013/14 financial year (1 April – 28 September 2013) were £3,311.8 million.

During this period, Camelot generated direct returns for National Lottery Good Causes of £864.1 million(1). In total, National Lottery funding has now been awarded to more than 420,000 individual projects across the length and breadth of the UK – the equivalent of 135 lottery grants for every postcode district. Camelot also paid out £1,773.6 million in prizes to players, taking the total amount of prize money paid out to over £49 billion and the total number of lottery millionaires to more than 3,400.

Total UK National Lottery sales over the half-year compare with sales of £3,528.8 million during the corresponding six months last year. The first half of the 2012/13 financial year, however, was a unique period that saw UK National Lottery sales reach record levels across the board due in large part to two specific events. Firstly, sales were buoyed by the London 2012 Olympic and Paralympic Games which, for example, saw a special EuroMillions 100 UK Millionaires Raffle held on the night of the Olympic Games Opening Ceremony. This event set a new weekly National Lottery sales record of over £200 million, as well as breaking the world record for the number of lottery millionaires created on one night.

Secondly, sales during the first six months of the 2012/13 financial year were greatly boosted by two extended EuroMillions roll series. The first of these saw the jackpot roll 11 times and ended with a final jackpot of £127 million. The second saw the jackpot roll a massive 14 times to £148 million before being scooped by a lucky UK ticket-holder. These two roll series alone drove an exceptional uplift in EuroMillions sales of over £200 million.

During the first half of 2013/14, sales of draw-based games were £2,263.5 million, a decrease of £266.5 million versus the same period last year. This figure also reflects the previously reported long-term decline in sales of the National Lottery’s flagship Lotto game, underlining the rationale for its recent re-launch (including a range of exciting new prizes and a new price of £2), which was publicly announced in January 2013 and implemented in October 2013, just after the close of the current reporting period. First indications show the changes have been received positively, and are reinvigorating both player interest and sales growth.

Through the launch of 40 new and innovative Scratchcards and online Instant Win games, Camelot succeeded in growing half-year sales of instant play games by 5% year-on-year to a record £1,048.3 million.

Despite the continuing tough high street conditions, retail remains the largest National Lottery sales channel, accounting for 83% of all UK sales. Camelot’s extensive programme of ongoing support for its retail partners over the half-year resulted in total in-store sales of £2,750.3 million. Across Camelot’s direct channels, interactive and subscription sales totalled £561.5 million.

Andy Duncan, Managing Director of Camelot UK Lotteries Limited, said: “We are pleased with this good set of results for the first half of this financial year. During these challenging economic times, we’re extremely proud to have returned £864 million to National Lottery projects and more than double that figure in prize money to our players during this period. This shows we’re delivering on The National Lottery’s promise to be truly life-changing for both winners and society, and we are confident that the exciting plans we have in place will continue to drive sales over the second half of the year.”

(1) Figures do not include investment returns on National Lottery balances which are reported separately.

Notes to Editors:

Camelot UK Lotteries Limited is the licensed operator of The National Lottery® and is committed to raising money for National Lottery Good Causes designated by Parliament. Camelot is not responsible for distributing or awarding these funds.

As operator of The National Lottery, Camelot delivers, on average, over £33 million each week to National Lottery Good Causes. Over £30 billion has now been raised for National Lottery Good Causes and more than 420,000 individual awards have been made across the UK – the biggest programme of civic and social regeneration since the 19th Century. The National Lottery has so far given away over £49 billion in prizes and created more than 3,400 millionaires or multi-millionaires since its launch in 1994.

Camelot runs the most cost-efficient major lottery in Europe, with around 4% of total revenue spent on operating costs. In the year ending 31 March 2013, around 28% of total National Lottery revenue was delivered to the Good Causes. Over the same period, Camelot paid out over 50% of total revenue to players in the form of prizes, 12% to the Government in Lottery Duty and around 5% to retailers in commission.

Camelot is committed to the highest standards in player protection and social responsibility in both the retail and interactive environments. The National Lottery website has been accredited by GamCare, the UK’s national centre for information, advice and practical help regarding the social impact of gambling – while Camelot’s approach to game design, test purchasing and retailer vigilance campaigns ensures player protection at retail.